Short Term Export Credit Insurance短期出口信用保险英文条款

Short Term Export Credit Insurance短期出口信用保险英文条款 China Export & Credit Insurance Corporation Short Term Export Credit Insurance - Comprehensive Policy Short Term Export Credit Insurance - Comprehensive Policy Chapter One Scope of Policy Article I. Exports insurable under the Policy are the exports conducted by the entities incorporated under the law and registered within the territory of the People’s Republic of China (hereinafter refers to as “China”) who are licensed to handle import-export business provided the following terms and conditions are satisfied. 1. Goods are exported from China, 2. The Sales Contract, which specifies the transaction essentials including the name, quality standard, specification, quantity, price of the goods as well as the time limit for performance, is issued in written form and come into effect before the export, 3. The payment term includes documents against payment (D/P), documents against acceptance (DA) and open account (OA), etc and the period of payment under which is not exceeding 180 days. Chapter Two Coverage Article II. The Insurer shall indemnify the Insured, and subject to the payment of premium by the Insured in accordance with the terms and conditions of Article Five, against direct losses resulting from the following event occurring after the exports pursuant to the sales contracts. 1. Commercial risk: a. Buyer’s Insolvency and/or Inability to pay the debt due, namely the buyer is declared to be bankrupt or loose the capability of paying debt; b. Protracted default, which occurs when the buyer has received the goods whilst the debt remains unpaid in whole or in part after expiration of the due date due to the non-compliance of its contractual duty by the Buyer; c. Buyer’s Refusal to take delivery of the goods, namely the Buyer fails to observe its duties under the sales contract and refuses to take delivery of the arrived goods. 2. Political risk a. The operation of any laws, regulations, orders, rules or administrative measures of the buyer’s country or region which prevents or restricts the transfer of payments due in the currency designated in the invoice or in any other freely convertible currency. b. The imposition of any laws, regulations, orders, rules or administrative measures by the buyer’s country or region which restrains the import of the goods ordered by the buyer. c. The imposition of any laws, regulations, orders, rules or administrative measures by the buyer’s country or region which revokes the buyer’s previous import license or prevents the extension of it’s validity; d. A general moratorium decreed by the buyer’s country or by a third country through which the payment must be effected; e. The occurrence of war, civil commotion, insurrection, revolution or rebellion, which prevents the buyer from performing its contractual duty; f. Unless otherwise provided by the Policy, the occurrence of any other events deemed to be political risks by the Insurer, which prevents the buyer from performing its contractual duties. Chapter Three Exclusions Article III Notwithstanding other provisions contained in the Policy, the Insurer shall not be liable for 1 China Export & Credit Insurance Corporation Short Term Export Credit Insurance - Comprehensive Policy any loss arising from the following events: 1. Wear and tear, damage, spoilage, loss or destruction of the goods occurred during the transportation and/or the storage period and/or the loss which has been insured or can be insured at the time of export in the customary way by cargo insurance or other similar class of insurance; 2. Exchange rate fluctuations; 3. A breach of any duties under the sales contract or any competent law by the Insured or its agent; 4. Insolvency, any breach of contract, fraud, violation of law and any similar acts on the part of the buyer’s agent; 5 Commercial risks due from export to any Affiliated Company; 6 The frustration of the Sales Contract due to the failure of timely obtaining of any necessary import or export license, approval or authorizations by the Insured or the buyer; 7. The Insured waives its rights to rescind or suspend the contract and carry on to release the goods despite the fact that risks listed in Article II of Chapter Two and/or the material breach and/or anticipating breach to the sales contract by the defaulting buyers has occurred and the occurrence of which has come into the Insured’s knowledge before the export; 8. The export to the buyer when at the time of shipment the buyer’s Credit Limit approved by the insurer is “Zero” or when the Credit Limit has been withdrawn, void or when the Discretionary Credit Limit has no apply; 9. The release of goods by any bank, freight forwarder or carrier without proper authority; 10. The loss occurred prior to the export ; 11. Ionizing radiations or contamination directly or indirectly caused by radioactivity of nuclear waste or the combustion of nuclear fuel, and/or radioactive, toxic, explosive or other hazardous properties caused by any explosive nuclear assembly or nuclear components thereof, 12. The war(s) between any two or more of the permanent members of the Security Council of the United Nations; 13. Any other losses beyond the scope of Coverage of the Policy. Chapter Four Limit of Liability Article IV. The Maximum Limit of Liability under this Policy is the maximum amount of aggregated loss the Insurer may be liable to pay during the term of the Policy and in respect of the exports declared under the Policy. The Maximum Limit of Liability will be specified in the Policy Schedule. Article V. The Credit Limit includes Discretionary Credit Limit set up by the Insured and Credit Limit approved by the Insurer. 1. Unless otherwise provided by the Policy, the Discretionary Credit Limit operates when the Maximum Limit of Liability is automatically granted by the Insurer without prior application by the insured for exports to a certain buyer in accordance with the terms and conditions specified in the “Insured Country / Region List”. The Discretionary Credit Limit will be specified in the Schedule of the Policy. The Insurer will be liable to the exports in line with the Discretionary Credit Limit when the procedure for Credit Limit approval was not triggered. The Amount Payable is however subject to the Percentage of Indemnity specified in the Policy Schedule. 2. The Credit Limit approved by the Insurer is the maximum amount of loss that the Insurer may be liable in respect to a certain export to a certain buyer. The amount payable is however subject to the Percentage of Indemnity specified in the Policy 2 China Export & Credit Insurance Corporation Short Term Export Credit Insurance - Comprehensive Policy Schedule. The Insured shall apply to the insurer in a written form for a Credit Limit for each buyer individually. The Credit Limit approved by the Insurer is valid for the corresponding export made after its effective date. Unless otherwise provided, such Credit Limit is revolving for the whole period of insurance. The Discretionary Credit Limit becomes void accordingly once the Credit Limit approved by the Insurer came into effect. 3. The Credit Limit approved by the Insurer in respect of a certain buyer becomes void automatically upon the Insured’s filling of “Notification of Likely Loss” by to that certain buyer. Article VI. The Insurer reserves the right of withdrawing or modifying the Credit Limit, including Discretionary Credit Limit, in respect of a certain buyer or a certain country and inform the Insured in writing for the purpose of risk control, loss prevention and loss reduction. A withdraw or modification as such is valid for the export occurred after the date when the notice of withdraw or modification is served to the Insured or after its effective date specified in the notice. Chapter Five Premium and other charges Article VII. Premium 1. This Policy is classified as a master Policy. Except for the export where the buyer’s Credit Limit approved by the Insurer is Zero or the Discretionary Credit Limit has no apply, the full premium shall be paid by the Insured for the entire export turnover insurable under the Policy and in line with the rate specified in the Policy Schedule. 2. The Insurer will monthly calculate the payable premium on the basis of the invoice value declared by the Insured in accordance with Article XI of the Policy and at the rate specified in the Policy Schedule. The Insurer will then produce the corresponding Debit Note and send it to the Insured. The premium shall be paid by the Insured in full amount within 10 days when the Debit Note is served. The Insurer shall be released from any liability to the relevant export declared by the Insured in the case the Insured fails to pay the premium within the requisite time limit. 3. The acceptance by the Insurer of any declaration and/or receiving of premium does not constitute the acceptance by the Insurer of any insurance liability. The Insured’s due observes of the terms and condition contained in the Policy is a condition precedent to the Insurer’s liability of settling any claim. 4. The Insurer reserves the right of modifying the rate applicable to a certain country or a certain buyer by giving a written notice to the Insured. The modified rate shall take effect as from the effective date stipulated in the notice of modification. Article VIII. Fees for Buyer’s Credit Investigation For each buyer that the applied Credit Limit is concerned, the Insurer shall charge the Insured for credit investigation in line with the tariff specified in the Policy Schedule and produce a credit assessment report accordingly. The Insured shall pay to the Insurer the relevant investigation fees within 10 days upon the receipt of the debit note. Chapter Six General Conditions Article IX. The full amount of premium shall be paid by the Insured to the Insurer as required by Chapter V of the Policy for the entire export turnover in line with the Scope of Policy, regardless the export 3 China Export & Credit Insurance Corporation Short Term Export Credit Insurance - Comprehensive Policy is declared or not. If the Insured intentionally or negligently fails to declare in whole or in part, and as a consequence the undeclared proportion of the premium exceeds 10% of the full payable premium, the Insurer’s obligation for the entire export business under the Policy is relieved in whole or in part and the premium paid to the insurer is not to be refund. The Insurer is further entitled to recover from the Insured any claim payment made before. Article X. The Insured shall provide, in the written form agreed by the Insurer, its declaration of the entire thexport turnover occurred in the previous month before the 10 date each and every month. The Insurer’s liability is relieved in whole or in part for the undeclared or wrongly declared proportion of the export. The Insured is obliged to declare as soon as possible and in a remedial way notwithstanding the failure to declare within the time frame in the first place. If however the loss has occurred and/or the insuring event has occurred to such un-declared export, the Insurer’s liability for the un-declared proportion of export is relieved. Article XI. The Insured warrants that all the documents and/or declaration provided to the Insurer are adequate and valid. In the case that the above documents or declaration is proved to be fraudulent, deceiving or misleading, the Insurer’s obligation(s) of any form in the Policy, including un-expired policy liability, outstandingly claim liability and un-paid claim liability, is (are) to be fully relieved and the Insured will not be entitled to refund of the paid premium whereas the Insurer is free to rescind the Policy in its sole discretion. Article XII. Without the obtaining of prior written consent from the insurer, the Insured shall not amend the sales contract, including but not limited to the amendment of term of payment or extension of the period of payment. Otherwise the Insurer shall not be liable for loss occurred to the underlying export. Article XIII. Cargo insurance for the declared export goods must be arranged either by the Insured or confirmed to be arranged the buyer. Otherwise, the Insurer shall not be liable for the loss occurred subsequent to the failure to do so. Article XIV. The Insured must take all reasonable care to review and verify the sales contract and the supporting certificate, audit the contract performance frequently and to take all practicable measures to collect the overdue account. Article XV. The Insured must submit in written form “Notification of Likely Loss” in line with the Article XX of the Policy. Failure by the Insured to do so, the Insurer is entitled to decrease the Percentage of Indemnity by 10% for each and every month in delay. Once the overdue amount is received after the submission of the “Notification of Likely Loss”, the Insured shall notify the Insurer in writing within 10 working days upon the receiving of the overdue amount. Article XVI. In the case of occurrence of Political risks covered by the Policy, the Insured shall, to the extend the law allows, require and supervise the buyer to pay the equivalent amount payable in local currency into a bank account named by the Insurer or the Insured with irrevocable instruction of transferring to the Insured. Article XVII. When the Insured become aware of any negative information in regard to the buyer and/or the occurrence or likely occurrence of any insured loss, the Insured shall take all necessary steps promptly to avoid or minimize the loss and shall inform the Insurer by a written notice. In the case that the Issuing Bank is declared to be bankrupt, the Insured is required by the Policy to register 4 China Export & Credit Insurance Corporation Short Term Export Credit Insurance - Comprehensive Policy the relevant claims at the jurisdictional court or other relevant institutes where the buyer locates. Article XVIII. The Insured shall permit the Insurer full access of the relevant books of business, contracts, documents and certificates relevant to the LC, the shuttlecock letters with the Buyer, etc., and provide all assistance deemed necessary for the Insurer’s inspection. Article XIX. Insured must take all the steps to comply with the obligation the Policy may require. The insurer’s duty for payment is relieved in whole or in part when the insurer’s interest is prejudiced by the breach of the insured’s obligation. Chapter Seven Threatening Loss, Claims and Claim Settling Article XX. Threatening Loss 1. The Insured shall submit the “Notification of Threatening Loss” to the Insurer within 10 days upon the knowledge by the Insured of the occurrence of the insuring events under the Article II of the Chapter Two of the Policy including Political risk, the Insolvency of the Buyer and the Buyer’s Refusal to take delivery of the goods. In the case of Protracted Default, the Insured shall submit the “Notification of Threatening Loss” to the Insurer within 2 months from the date of delay. 2. The Insured is required to commence recovery upon the insurer’s direction after the submission of the “Notification of Threatening Loss” and the recovery expenses, except for the Attorney Fees, Litigation, Arbitration and the Commission, shall be bear by the Insurer in the first place. In the case of Insured’s failure to do so, all expenses arising thereof shall be bear by the Insured. Article XXI. Claim 1. Insured shall submit the “Letter of Claim” to the Insurer within 4 months following the submission of the “Notification of Likely Loss”. Failure to do so shall be viewed and taken as the waiver by the Insured to claim under the Policy. 2. The Insured shall provide all the supporting documents and certificate specified in the “Letter of Claim”，otherwise the Insurer is entitled to reject the file and not to proceed the claim handling process. Article XXII. Whilst in ascertaining losses relating to the contracts with payment guarantee clause or contracts under trade dispute, the following rules will apply: 1. In the case of contracts with payment guarantee clause, unless otherwise accepted by the Insurer in a written form and before the guarantor has paid the amount in accordance with the guarantee agreement or that a final judgment enforceable was obtained from the court or arbitration court where the Insured has instituted the legal process, the process for claim handling and the ascertainment of loss will not be commenced 2. In the case of buyer’s refusal to pay or to take delivery of goods resulting from trade dispute or antidumping measures, unless otherwise accepted by the Insurer in a written form and before the guarantor has paid the amount in accordance with the guarantee agreement or that the a final judgment enforceable was obtained from the court or arbitration court where the Insured has instituted the legal process, the process for claim handling and the ascertainment of loss will not be commenced 3. The litigation fees and arbitration fees incurred under clause 1and clause 2 of this Article shall be paid in advance by the Insured. Only if it is determined that the Insured has won 5 China Export & Credit Insurance Corporation Short Term Export Credit Insurance - Comprehensive Policy the suit and that the loss is covered by the Policy, shall the above fees be shared between the insurer and the Inured in their respective proportion. Otherwise, all the relevant fees shall be in the Insured’s sole account. Article XXIII. The following items shall be deducted from the sum in calculation of loss amount: 1. Items that have been paid, debited, set-off by the buyer or the item of counter claim which has been agreed by the Insured 2. Items that the Insured have recovered from other recourses, including but not limited to items obtained by reselling the goods and/or disposing the pledge and/or sums paid by guarantor. 3. The deducted or the waived part of the debt agreed by the Insured without prior consent of the Insurer. 4. Interest or penalties which the Insured is entitled to under the sales contracts; 5. Other items or interests belonging to the buyer that has been obtained or confirmed to be obtained by the Insured. 6. Items beyond reasonable. Article XXIV. Notwithstanding the other provisions contained in the policy, in the case of Buyer’s refusal to take delivery of goods, the process for claim handling and the ascertainment of loss will not be commenced unless the Insured has finished the disposal work of the refused goods. Article XXV. In receipt of the “Letter of Claim” together with all of the relevant documents submitted by the Insured in accordance with the terms and conditions of the Policy, the Insurer shall investigate and verify the cause of loss within 4 months and inform the Insured in a written form of its decision. The Insurer shall pay the claims covered by the Policy by applying the Percentage of Indemnity specified in the Policy Schedule. The payment by the Insurer to the Insured shall not exceed the Credit Limit approved by the Insurer or the Discretionary Credit Limit multiplied with the above Percentage of Indemnity. Article XXVI. The total indemnity paid by the Insurer shall not exceed the invoice value of the export good in all events. Chapter Eight Recovery Article XXVII In the case of Insurer’s recovery appointed by the Insured, and it is ascertained that the Insured’s loss is covered by the Policy, the recovery expenses shall be shared between the Insurer and Insured in their respective proportion. If it is ascertained that the Insured’s loss is not covered by the Policy, the recovery expenses shall be in the Insured’s sole account. Article XXVIII Following the payment by the Insurer, all the interests and rights relating to the respective sales contract shall be assigned to the Insurer. Article XXIX Following the payment by the Insurer, the Insured remains obligated to assist the Insurer in the recovery process against the buyer. Once the amount due is recovered from the buyer, the recovery amount and the expenses incurred shall be shared between the Insurer and the Insured in their respective proportion under the Policy. Any debt recovered or received by the Insured or its agent shall be viewed and taken as entrusted by the Insurer before proper disposal between Insurer and the Insured. 6 China Export & Credit Insurance Corporation Short Term Export Credit Insurance - Comprehensive Policy Article XXX In the case of the following events, the Insured shall refund the claim payment plus interests to the Insurer within 10 working days subsequent to the request of refund by the Insurer: 1. The failure of the Insured to adhere to the Utmost Good Faith principle, conduct fraudulent act and/or conspiratorial transaction with the buyer 2. Upon the receive of insurance payment, Illegally accept the returned goods , allow discount and/or reach into agreement with buyer in debt collection or reconciliation Chapter Nine Currency Article XXXI Except the fees for buyer’s credit investigation is paid in Renminbi, the currency under the Policy is USD (United State Dollar). Chapter Ten The Policy Period Article XXXII The Policy Period is one year. The Insurer shall provide the Insured with “Notification of Policy Renewal” one month prior to the expiry of the Policy Period. If renewal is agreed by the Insured, the reply shall be returned to the Insurer ten days prior to the expiry of Policy Period and the Policy to be renewed accordingly under the terms specified in the Policy Schedule, Otherwise, the Policy shall be terminated upon the expiry date of the Policy Period. The Termination of the Policy shall not affect the liability accepted by the Insurer. Article XXXIII In the case of cancellation on the part of the Insured, the Insured shall inform the Insurer in writing and the Policy is terminated from the date the notice is delivered to the Insurer. The insurer’s liability under the Policy is fully terminated hereinafter. Article XXXIV In the case of delay of premium payment for more than 2 months, the Insurer is entitled to cancel the Policy and inform the Insured in writing accordingly. The premium under the Policy paid beforehand shall not be refund. Chapter Eleven The Assignment of Interest Article XXXV Without obtaining prior agreement from the Insurer in writing, the Insurer shall not be bound by any disposing act of the underlying interest of the Policy, including assignment, mortgage, pledge, pawn and any other similar measures. Chapter Twelve Governing Law and Dispute Resolution Article XXXVI (The Policy is issued in both Chinese and English version and in case of conflict) The Chinese version shall prevail. The governing law of the Policy is the laws of China. Article XXXVII All disputes arising out of the Policy between Insurer and the Insured will be settled through friendly negotiation. Should no agreement be reached, the dispute shall be handled in the way(s) specified in the Policy Schedule. 7 China Export & Credit Insurance Corporation Short Term Export Credit Insurance - Comprehensive Policy Chapter Thirteen Definition Article XXXVIII Unless otherwise specified in the Policy, the terms shall be construed in the way specified as below: 1 The Policy Comprehensive Policy (Number: “The Policy” means Short Term Export Credit Insurance – see policy number in the Schedule), is consist of “Insured’s Declaration”, “Proposal Form or Application Form”, “Policy Schedule”, “Policy Wording”, “Insured Country (Region) List of Specification ”, “Application Form for Credit Limit”, “Approval Form of Credit Limit”, “Notification of the Withdraw/Decrease of Credit Limit”, “Declaration Form of Export Business”, “Endorsement” and other relevant documents. 2 The Insurer “The Insurer” means China Export & Credit Insurance Corporation, locates in No.5 Fuchengmen North Street, Xicheng District, Beijing, P.R.China 3 The Insured “The Insured” is the one specified in the No.2 Item of the Policy Schedule 4 Export “Export” means the cargo has been declared to custom and been passed over to carrier or directly been passed over to buyer. 5 Affiliated Company "Affiliate Company " of the Insured means any company who, through ownership of voting stock or otherwise, directly or indirectly controls, is controlled by or is under common control with the Insured. 6 D/P “D/P – documents against payment ”, including D/P and other similar measures, means it is precedent upon the buyer to pay the contract sum in advance before the buyer is entitled to possess the shipping documents. 7 D/A “D/A – documents against acceptance ”, including D/A and other similar measures, means it is precedent upon the buyer to accept bills of exchange before the buyer is entitled to possess the shipping documents 8 OA “OA – open account” including OA, air transportation, overland transportation, sending some shipping documents directly to the buyer and other similar measures, means the buyer is entitled to possess the shipping documents directly without having to pay the contract sum or to accept bills of exchange. 9 Recovery Fee “Recovery Fee” means the total expenses occurred during the recovery process, including investigation fee paid in advance and expenses and fees paid for litigation, arbitration, lawyers, public notary, evidence certifying and execution of the judgment, as well as commissions payable to the recovery company or law office for the successful recovery of debt. 8